RBI governor Shaktikanta Das addresses SBI Conclave: Key points

NEW DELHI: Reserve Bank of India (RBI) governor Shaktikanta Das addressed the seventh SBI Banking and Economics Conclave on Saturday amid the ongoing Covid-19 crisis. The central bank governor also spoke about on the health as well as economic crisis which have impacted jobs badly.
Here are the key points from the RBI governor’s address:
* Covid-19 is the worst health and economic crisis in last 100 years with unprecedented negative consequences for output, jobs & well being. It dented the existing world order, global value chains, labour and capital movements across globe: Shaktikanta Das
* Covid-19 pandemic perhaps represents so far the biggest test of robustness aand resilience of our economic and financial system: RBI governor

* From February 2019 onwards, on cumulative basis, we had cut the repo rate (rate at which central bank lends money to banks) by 135 basis points till the onset of Covid-19. That was done mainly to tackle the slowdown in growth which was visible at that time and we had elaborately touched upon its in our MPC Resolutions: RBI governor
* The topmost priority for RBI is growth; financial stability is equally important: Das
* RBI has strengthened its offsite surveillance mechanism to identify emerging risks: RBI governor
* Indian economy has shown signs of getting back to normalcy: RBI governor
* Post containment of Covid, very careful trajectory has to be followed: Shaktikanta Das
* RBI is engaged with all stakeholders for resolution for Punjab and Maharashtra Cooperative (PMC) Bank: Das
* RBI policy action for medium-term will require a careful assessment of how the crisis unfolds: RBI governor
* Coronavirus pandemic will result in high NPAs (non-performing assets) and capital erosion, says RBI governor
* Building buffers, raising capital crucial for ensuring credit flows and to build resilience in financial system: Das
* We need a structured mechanism with legal backing to deal with stressed assets: RBI governor
* Indian companies and industries respond better in a crisis: Shaktikanta Das

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